Willis Towers Watson Technical Research Paper Series最新文献

{"title":"How Does the Stock Market React to the Closure of a Pension Plan in the UK?","authors":"Jonathan Gardner, G. Pang, Qiqi Zou","doi":"10.2139/ssrn.2469209","DOIUrl":"https://doi.org/10.2139/ssrn.2469209","url":null,"abstract":"We study market reactions to the announcement of a company closing their defined benefit pension plan in the UK to future accrual. For a sample of 48 plan closures, observed between 2006 and 2013, the empirical tests show a relatively muted market reaction on average. Although estimated returns are larger for firms for whom the pension plan poses higher-risk, we are unable to reject the hypothesis that returns are not statistically different from zero.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"38 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2014-06-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123674068","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"A Comparison of the Efficiency of Islamic and Conventional Insurers","authors":"Alok Singh, Zaki N. Zahran","doi":"10.2139/ssrn.2306013","DOIUrl":"https://doi.org/10.2139/ssrn.2306013","url":null,"abstract":"This analysis compares the cost efficiency of Islamic and conventional insurers operating in eight countries. We analyze data collected from 32 insurers using stochastic frontier analysis, data envelope analysis and a partial frontier approach with order-alpha free disposal hull. We compare the efficiency of Islamic and conventional insurers and conclude that Islamic insurers are no more or less efficient than conventional insurers in carrying out insurance activities. Any differences arise in the investment side of the business, where Shariah restrictions render Islamic insurers less efficient than their conventional counterparts.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"55 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2013-07-08","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132619101","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Sustainable Investing Practice: Simplified Complexity","authors":"R. Urwin","doi":"10.2139/ssrn.1656988","DOIUrl":"https://doi.org/10.2139/ssrn.1656988","url":null,"abstract":"The model of “sustainable investing” presented in this paper is of long-term investing that is inter-generationally efficient. This model combines the opportunities in the traditional areas of institutional decisions – asset allocation and manager line-up – with the newer fields of extra-financial factors including ESG (environment, social and governance) and active ownership. The development of this model relies heavily on complexity theory in which a system has the properties of: being dynamic and often away from equilibrium; is characterised by agent behaviours; behaves interactively including network effects; produces the emergence of macro patterns from micro-level behaviours; and evolves its characteristics from survival and growth factors. We conclude there are significant investment opportunities for those that focus their attention on “sustainable investing” which can be seen to comprise three broad areas: the asset allocation and manager areas where large costs are incurred as a result of poor sustainability practices; the ESG area when an integrated approach is desirable; and the sustainability mandates area where more sophisticated beliefs are necessary. We see a particular opportunity for sustainable mandates. These will require asset allocation disciplines and we put forward a process for determining appropriate figures in this regard. We include a process by which funds that have dual missions can make such an allocation. We see retirement and economic sustainability as critically positioned at tipping points in their development; developed world aging and shrinking workforce are leading to big increases in the dependency ratio – raising issues about sustainable retirement; while at the same time population growth and development are challenging the carrying capacity limits of the planet – raising issues about sustainable development. Sustainable investing provides a link between these two issues and presents a win-win: more sustainable investing returns produce both better retirement outcomes and environmental outcomes. Institutional investment funds need to raise their game and play a part in these challenges by employing integrated and/or targeted sustainable investing. Those funds will be able to do so only if they strengthen their governance.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"16 2 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2010-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130588598","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"How Does the Market Value Healthcare Liabilities?","authors":"Natalia Aranco, Rodrigo Lluberas","doi":"10.2139/ssrn.1240766","DOIUrl":"https://doi.org/10.2139/ssrn.1240766","url":null,"abstract":"The aim of this paper is to analyze the effect of medical health benefits liabilities on firms' share prices. First, we find that investors tend to over-react to healthcare obligations, with a one percent increment in healthcare liabilities leading to a more than one per cent decline in the market value of firms' equity. Secondly, as real market values cannot be measured without error, differences between market and firms' own valuations are to be expected. For healthcare obligations, however, the particular set of assumptions used in their estimation could intensify this disparity. To test this possibility, we try to measure the degree of market reliability in financial information provided by companies in their balance sheet. We find evidence to support the fact that other post-retirement employee benefits (OPEB) estimations are not as reliable as accounting measures for pension.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2008-07-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131936606","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Optimizing the Equity-Bond-Annuity Portfolio in Retirement: The Impact of Uncertain Health Expenses","authors":"G. Pang, M. Warshawsky","doi":"10.2139/ssrn.1077633","DOIUrl":"https://doi.org/10.2139/ssrn.1077633","url":null,"abstract":"This paper derives optimal equity-bond-annuity portfolios for retired households who face stochastic capital market returns, differential exposures to mortality risk and uncertain uninsured health expenses, and differential Social Security and defined benefit pension coverage. The results show that the health spending risk drives household portfolios to shift from risky equities to safer assets and enhances the demand for annuities due to their increasing-with-age superiority over bonds in hedging against life-contingent health spending and longevity risks. Households with higher income have a greater incremental demand for life annuities. The annuities in turn provide greater leverage for equity investment in the remaining asset portfolios.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"96 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2007-12-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"127244536","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Workforce Planning for a Global Automotive Economy","authors":"Steven A. Nyce","doi":"10.2139/SSRN.911517","DOIUrl":"https://doi.org/10.2139/SSRN.911517","url":null,"abstract":"Watson Wyatt Worldwide recently partnered with the University of Michigan Transportation Research Institute's (UMTRI) Office for the Study of Automotive Transportation (OSAT) to investigate how automotive suppliers manage their global human resources (HR). Based on 20 executive interviews at 14 major Tier 1 suppliers, this study shows that suppliers face unprecedented human resource challenges as they rapidly globalize their activities. Although Tier 1 suppliers recognize the importance of human capital to successful globalization, our results indicate that suppliers do not sufficiently use their HR departments to predict human capital needs. As these companies face critical talent shortages in required locales, particularly in highly-skilled positions such as engineering, a more systemic approach to staffing would reduce costs and improve efficiency. Suppliers often feel forced to choose managers with functional experience over those with local cultural and legal knowledge, but both are critical to succeeding overseas. In the end, HR is a major challenge - and solution - to globalizing an organization. Recruiting, retaining and deploying the right people to supervise and staff operations is difficult. Yet the ability of HR to anticipate and aid companies through workforce planning and monitoring, as well as training and supporting expatriate managers, can give companies a long-term competitive advantage. Offering HR a seat at the table before globalization decisions are made can ensure fewer negative surprises and a smoother entry into new markets and production locations.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"33 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2006-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129942889","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Ruin in Retirement: Running Out of Money in Drawdown Programs","authors":"J. Orszag","doi":"10.2139/ssrn.892761","DOIUrl":"https://doi.org/10.2139/ssrn.892761","url":null,"abstract":"This paper analyses income drawdown programs where individuals choose a starting level of income and consumption growth levels so that they are certain to run out of money at some age. We compare the consumption in such a drawdown program with the level of consumption from an annuity. Our analysis shows that for individuals to prefer the drawdown program to an annuity because of higher initial income levels, they must be willing to forego all consumption for a majority of their expected period of retirement.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2006-05-10","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"117290551","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Are Risky Workers More Valuable to Firms?","authors":"J. Orszag, G. Zoega","doi":"10.2139/ssrn.892300","DOIUrl":"https://doi.org/10.2139/ssrn.892300","url":null,"abstract":"A worker's performance may vary over time for reasons that have nothing to do with his inherent abilities, motivation, background and education. For example, over time the nature of a firm's business may change to reduce the degree of match between the human capital of the worker and the needs of the firm's business. When firms make hiring decisions, which are costly to implement or reverse, the uncertain human capital productivity has signifi cant practical implications. Conventional wisdom is that workers whose future productivity is more risky should be paid less than those whose perceived future productivity is less risky. This paper shows that in many institutional contexts the conventional wisdom is incorrect: risky workers should be paid more rather than less because those in risky segments are that much harder to replace. But on the other hand, we find that higher wages among those whose value to firms is more uncertain is also matched by a higher degree of unemployment among these groups.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"25 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2006-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123802077","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Means Testing, Pensions and the Labour Market","authors":"Jonathan Gardner, J. Orszag, P. Thornton","doi":"10.2139/ssrn.892963","DOIUrl":"https://doi.org/10.2139/ssrn.892963","url":null,"abstract":"One of the oldest and most contentious debates in welfare economics and social security provision revolves around means testing. This paper reviews the history and issues in the debate about means tested welfare benefits, with particular emphasis on UK experience.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2004-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129409596","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"How Have Older Workers Responded to Scary Markets?","authors":"Jonathan Gardner, J. Orszag","doi":"10.2139/ssrn.892764","DOIUrl":"https://doi.org/10.2139/ssrn.892764","url":null,"abstract":"The past few decades have witnessed a global move towards private provision for retirement through individual defined contribution pensions at the expense of publicly provided and employer-sponsored defined benefit pensions. As a consequence, workers and retirees are becoming increasingly exposed to uncertainties in financial, labour and economic markets. The contributors to this book analyse the implications for retirement income policy, workers and retirees in view of the current climate of heightened exposure to scary markets. The implications of a broad range of scary market scenarios are presented, and novel solutions prescribed. Retirement incomes across a number of countries including the US, the UK, Japan and Australia are explored.","PeriodicalId":227461,"journal":{"name":"Willis Towers Watson Technical Research Paper Series","volume":"2014 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2004-05-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"128672490","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}